How investing in a franchise business can be a passive income
- Thread starter Johnson2468
- Start date
It is very correct that interesting in franchise would give you decent money and you can make money passively.
A franchise could be a very good avenue to generate money.
In my opinion, if you buy a franchise business or as a franchisee then you have to pay a franchise fee and a royalty fee, to run the business. So it's not passive income for you because you have to be active to manage the business unless you are a franchise owner you will get passive income.
It becomes a passive income stream to the owner of the franchise. That's because holders of the franchise keep on paying royalties to the owner of the Franchise.
Investing in a franchise business can serve as a passive income source because one is purchasing a proven business model. One does not have to worry about starting from stratch because the franchise company has taken care of most things.
When you buy a business franchise, you will get big profits in the form of a brand that is well known and has many fans and you will also get support from the franchisor and it will be more cost effective because management will be managed by the franchisor.
A franchise business is an excellent business idea, especially if the brand is well-known. Jollibee is one of the most popular fast-food chains in the Philippines. Expect it to boom if you franchise it.
